Overseas remittances expected to increase: WB
World Bank forecast Vietnam's overseas remittances this year will hit US$11 billion, bringing the country to 9th position in the top 10 countries in the world.
Vietnam's overseas remittances reached US$10 billion last year, rising by 10% over the previous year.
A large proportion of the total originated from the more than 4 million Vietnamese expatriates and approximately 400,000 guest workers in Japan, the Republic of Korea, Malaysia, China’s Taiwan, and the Middle East.
India, China and the Philippines were the three largest countries in the list with US$71 billion, US$60 billion and US$26 billion, followed by Mexico (US$22 billion), Nigeria (US$21 billion) and Egypt (US$20 billion).
India and China accounted for one-third of the total overseas remittances poured into developing countries this year.
The World Bank said the world's total overseas remittances including those poured into high-income countries this year was estimated to reach US$540 billion and jump to a record high of US$707 billion by 2016.
Of the total, remittances sent to developing countries would increase 6.4% to US$414 billion this year and surpass US$500 billion by 2016.
According to the bank, total remittances into developing countries will surge in short term with an average growth rate of 9% each year.
The World Bank's figures revealed changes in national classification. Some countries which received a large portion of overseas remittances including Russia, Latvia and Uruguay have no longer been listed in the group of developing countries.
Costs for transfer remittances through formal channels were still high, making people prefer using informal ones. The average cost last year was 9% worldwide and remained unchanged. However, banks added some fees on the remittances up to 5%.